Neill Ferguson’s Post

Don’t Undermine Employee Loyalty Dear HR professionals, When hiring someone for a position and negotiating their salary, it’s crucial not to offer less than they deserve just to appear as a tough negotiator. Exploiting a candidate’s need for a job and offering them less than their peers in similar roles can have long-term negative effects. Once they discover they are underpaid compared to their colleagues or the company’s salary standards, they will likely lose their sense of loyalty and become disengaged. This lack of engagement will impact their performance and, ultimately, the company’s productivity, depending on their role. In addition, such employees may start looking elsewhere, leading to higher turnover costs and wasted time in rehiring. Let’s ensure we create a fair, transparent, and respectful environment from the very start. Doing so benefits both the employee and the organization in the long run. 🙏

No matter where I go around the world to work in law firms and other organisations, attraction and retention of people remains the #1 issue that hinders their performance and profitability. Years ago I was told that when someone leaves an organisation it costs them a year's salary just to replace them. This stands to reason when you take into account the cost of recruiting and retraining but I think it is very conservative. I believe the overall cost to the organisation goes far wider than this when you take into account the emotional tolls it takes on everyone involved. Other people in the team may start asking themselves questions about why they left and whether or not this is still a good place to work. Carrying the extra workload of the person who leaves until they are replaced, trained, and accepted into the team, is something else that must be added in to the overall cost. In addition to offering a competitive salary, consider what emotional benefits you provide to retain your team. Check out this great article for more insights on the subject.

A story about employee retention. Over the course of my 20-year career, I have transitioned between positions at various organizations, typically remaining with each company for 1 to 3 years. When asked about this employment history, I have politely explained that if I become aware of individuals performing comparable roles within the same industry sector and earning significantly higher compensation, I am inclined to pursue opportunities that provide more competitive remuneration. Therefore, I advise employers to carefully monitor market wage rates regularly, at minimum annually, to ensure their compensation packages remain aligned with industry standards. This is a key factor in retaining employees. Alternatively, prospective employers should be receptive to the possibility that I may work for their organization for a limited duration before seeking a position that affords greater earning potential. I am grateful to say that I've been with my current employer for over six years precisely because they pay a competitive wage and stay competitive. By proactively evaluating and adjusting their compensation structure, they have retained me as a long-term, valued member of their team.

Dear HR's I hope this message finds you well. I have some tips for you as an employee or however you'd like to perceive it.👇👇 How to Build a Great Team? Every company wants to build a strong team that works with dedication and freedom, but let’s address the real issue: 🛑 Many companies want an employee worth ₹1,00,000 of work but offer a ₹50,000 salary. ❓ Why would a talented employee join your company if they don’t get a proper hike or fair pay? Here’s how you can actually build a great team: 1- Pay Fairly: If you want employees to deliver exceptional work, you need to offer them the right compensation. Talent doesn’t come cheap. 2- Recognize Hard Work: Appreciate and reward contributions, whether through incentives, bonuses, or simple acknowledgment. It goes a long way. 3- Provide Purpose: Help your team connect with the company’s mission. When they see a purpose in their work, they give their best. 💡 Remember, a company isn’t built on its products or services alone — it’s built on its people. Treat them right, and they’ll take your company to new heights. #TeamBuilding #EmployeeEngagement #Leadership #OrganizationalSuccess #goodteam #hr

Dear #Recruiters, The impact of bonuses on employee compensation cannot be underestimated against the dynamic talent-acquisition and retention scenario. Against the backdrop of any well-thought-out structured pay categories for every description in any organization, the element of bonuses can really make all the difference in delivering outstanding results for the company. Bonuses offer a strong incentive, making employees feel valued and recognized. Such practices, extending beyond the usual compensation structure in rewarding high performance, would make a difference in bringing a sense of excellence and dedication within any working group. The possibility of receiving bonuses also presents an incentive that increases productivity, efficiency, and innovation. It motivates employees to strive harder or perform beyond expectations and be highly instrumental in the success of the organization when they have a claim on the rewards associated with their performance. Moreover, smart bonus allocation can institutionally inculcate a culture of healthy competition, collaboration, and goal alignment within the workforce. In building a sense of fraternity and mutual support among team members through the recognition of outstanding achievements, it would galvanize collective excellence and success. Essentially, though structured pay categories provide the foundation for any form of fair pay, adding bonuses takes employee motivation, engagement, and performance to a whole different level. Bonuses have the potential to become an exceptional tool for incentivizing and recognizing employee efforts; hence, embracing that potential will unleash a treasure trove of talent, dedication, and results. Let bonuses be the game changers in your staff's pay, and watch the ripple effect of improved performance resound throughout your organization. #recruiter #hiring #performance #management

Valuing Loyalty in the Workplace When hiring new talent, it’s crucial to consider the impact on existing team members. Offering a competitive salary to new hires is important, but so is recognizing the dedication of your current employees. By ensuring that existing team members receive a salary increment alongside new hires, you can foster a motivated and loyal workforce. It’s about creating a culture of respect and appreciation for loyalty, which ultimately leads to higher retention rates and a more engaged team. Let’s work towards HR policies that honor the commitment of all employees. Together, we can build a workplace where everyone feels valued! #Loyalty #Motivation #HRPolicies

Causes of Employee Frustration 1. Unmet Expectations: Many employees expect annual salary increments as a standard practice. When this doesn’t happen, it feels like their contributions aren't valued. 2. Rising Cost of Living: Without regular raises, employees may struggle to keep up with inflation and increased living expenses. 3. Lack of Transparency: If there’s no clear explanation for the absence of increments, employees may feel ignored or taken for granted. 4. Performance vs. Reward Gap: Employees who perform well but don't receive pay raises may feel their efforts go unrecognized. 5. Perceived Inequity: If some employees receive raises while others don’t, it can lead to feelings of favoritism or unfair treatment. Impact of No Yearly Salary Increments Decreased Motivation: Employees may reduce their efforts if they feel there’s no financial reward for hard work. Increased Turnover: Talented employees may leave for better-paying opportunities. Negative Workplace Culture: Frustration can spread, leading to a toxic work environment. Reduced Productivity: A demotivated workforce often results in lower efficiency.

Salary vs Work Culture - The Great Battle The ever lasting battle of what an employee would choose for their well-being at a workplace - a good salary or a good work culture - is a never ending discussion. Every employee has a unique experience that makes them happy. Someone has the ability to strengthen their position at a workplace easily, others may have a different yet complex approach which may or may not make sense. If your standing at a workplace is secure, you are in a position to decide whether to stay or leave. This decision is driven by a critical thought - whether I am being paid as per the role requirement (not above the standards if not needed) and I am at a safe work environment where I can drive towards success without compromising on ethics and accountability. This highly debatable decision should nit be a battle rather a conglomerate of both - good pay with good workplace. That’s it! Nothing to think more of. Along with thinking about this decision, it is of utmost importance to ensure this decision is being fulfilled for the people working down the line (applicable for a management position holder / critical decision maker). The employee decides on your decision. Need to keep remembering this. Below here, we tried to demonstrate a safe, happy and healthy workplace culture by ensuring our employees are able to release their work pressure and relax from their usual tasks Special mentions who helped and guided us towards this accomplishment - Munish Sharma Mervyn Ku Ayaz Hussain Siddiqui Nikita Kapoor Mannita Sachdev

9 Effective Tactics for Retaining Employees by Michael Levitt CC0 Licensed Image Courtesy of Pexels Retaining employees is one of the tricks of the trade when it comes to business. The cost savings alone are worth the pursuit, as it can amount to one year’s salary to replace a valued worker. However, there is much more value in going out of your way to help employees stay. One of the most important things to workers is that they feel appreciated, and this alone almost guarantees they will work hard for your business, as well as fair pay and personal development. Provide the Tools to Succeed Pretty much all employees […] #boomers #babyboomers